Establishment of a Distribution Center to Enhance Throughput for a Sportswear Company
Context
The client was running out of warehouse capacity sooner than expected; therefore, a third facility was needed.
A short timeline meant that the design needed to maximize capacity and throughput while minimizing new developments.
Objectives
Modernize and increase distribution capacity
Design a new DC that can satisfy the next 5 years’ operations needs
Address higher customer service level requirements
What we delivered
Conceptual design: Designed and validated a high-level layout and process with the client. Relevant costs were collected and calculated to form the business case for approval
Detailed design: The details of the layout and operational processes were defined together with other functions to generate a complete implementation plan. The client required a strong PMO to orchestrate and coordinate different functions
Implementation: A detailed implementation and transition plan and project PMO was set up to closely monitor the progress and manage risks or issues during the implementation
Results
Successfully set up an 85,000 sq. mi. multi-floor distribution centre
Improved space utilization and throughput significantly
Go-live on time and under budget with no business interruptions